Stifel maintains Buy on Pulmonx stock with $16 target

Published 05/05/2025, 15:20
Stifel maintains Buy on Pulmonx stock with $16 target

On Monday, Stifel analysts maintained a positive stance on Pulmonx Corp . (NASDAQ: NASDAQ:LUNG), reiterating a Buy rating and a $16.00 price target. The decision comes after a thorough review of the company’s first quarter earnings call held on April 30th, 2025, and a subsequent update to the quarterly sales forecast for the year. According to InvestingPro data, the stock currently trades at $3.47, near its 52-week low, while analysts’ consensus target suggests significant upside potential.

The Stifel analysts adjusted their sales expectations for the remaining quarters of 2025, while keeping the full-year sales projection steady at $97.0 million. According to the analysts, Pulmonx management has signaled that the second half of 2025 will see a boost in U.S. sales growth, thanks to strategic commercial initiatives. These include the rollout of LungTraX Connect/Detect and the addition of seven new Zephyr Valve therapy awareness specialists. The company has demonstrated strong revenue growth of 19.84% over the last twelve months, with a healthy current ratio of 4.97 indicating solid short-term financial stability.

As a result of these anticipated developments, the analysts have increased their sales estimates for the third and fourth quarters in the U.S. market. Conversely, they have lowered their second quarter sales projection to more accurately reflect the timing of these growth drivers. Adjustments were also made to the quarterly international sales projections to align with typical seasonal patterns. InvestingPro analysis suggests the stock is currently undervalued, with 12 additional exclusive insights available to subscribers.

The analysts highlighted that the incremental contributions from the U.S. commercial initiatives are expected to be significant in driving accelerated sales growth in the latter half of 2025. Pulmonx’s management remains confident in this trajectory, which supports the analysts’ decision to maintain the company’s Buy rating and price target. For detailed analysis and comprehensive valuation metrics, investors can access the full Pro Research Report available on InvestingPro.

In other recent news, Pulmonx Corp reported its first-quarter 2025 earnings, revealing a narrower-than-expected loss per share while slightly missing revenue forecasts. The company posted a net loss of $0.36 per share, surpassing the forecasted loss of $0.39 per share, but its revenue of $22.5 million fell short of the $22.03 million expectation. Despite the revenue miss, Pulmonx reaffirmed its full-year revenue guidance of $96-98 million. The company demonstrated a 20% revenue growth year-over-year, driven by strong international sales, particularly a 39% increase in overseas markets. Meanwhile, Canaccord Genuity analysts revised their price target for Pulmonx, lowering it from $16.00 to $15.00, yet maintained a Buy rating, reflecting optimism about the company’s long-term growth potential. The analysts cited Pulmonx’s commitment to achieving over 20% growth in the long term as a reason for their continued confidence. Pulmonx continues to expand its international footprint, notably in China, and anticipates growth acceleration in the U.S. in the latter half of 2025.

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